Update: Photographs and first-hand observations included. The report is also updated with recent comments from officials and media reports.
After discontinuing the Jetta Hybrid in 2016, Volkswagen has stayed out of the U.S. hybrid market. Now, as EV sales face a period of uncertainty and American buyers show an increasing appetite for hybrid cars, the company is reconsidering its strategy. In a few years, a VW Tiguan Hybrid and a VW Atlas Hybrid will be available at U.S. dealers.
Volkswagen intends to launch new hybrid cars in North America as soon as possible, global CEO Thomas Schäfer told journalists at the 2024 LA Auto Show, as per an Edmunds report dated November 21, 2024. The company wants to initially offer a hybrid powertrain in two of its most popular SUVs, the Tiguan and Atlas.
VW Tiguan Hybrid for the U.S.
Without divulging the type of hybrid technology, Schäfer said that launching a Tiguan Hybrid in the U.S. is “part of the plan.” The new Tiguan arriving in the U.S. in 2025 is adapted from the second-generation Tayron for Europe. There, it comes with both mild-hybrid and plug-in hybrid systems.
However, it looks like neither of these systems is being considered for the United States. Dr Kjell Gruner, President & CEO of Volkswagen Group of America, is reported by Automotive News as preferring full-hybrids for this market for cost and weight reasons. This is a system comparable to what’s found in the Honda CR-V or Toyota RAV4 hybrid, and cannot be charged externally.
Volkswagen has announced its next-generation full-hybrid system, which will debut in the VW T-Roc next year in Europe. It uses a 1.5-litre system that generates 100 kW (134 hp) and 125 kW (168 hp) depending on the configuration, with a front-wheel drive layout. It is likely that Volkswagen is eyeing this full-hybrid system for the U.S. market Tiguan.
VW Atlas Hybrid for the U.S.
As for the type of powertrain for the Atlas Hybrid, we’re expecting a similar full-hybrid system, but it would have to be powerful and torquey to suit the demands of this segment. Volkswagen doesn’t have a hybrid powertrain in its current arsenal for the Atlas’s size class, so it may have to develop one.
Scout Motors is working on an EREV powertrain for the Terra and Traveler models, with the first units scheduled for 2027. The system reportedly uses a four-cylinder naturally aspirated engine and an LFP battery pack, where the engine solely charges the battery. We’d imagine that the VW Group has this option as well for the future Atlas.
Release Date
Automotive News has projected the launch of the Tiguan Hybrid in the U.S. during its mid-cycle refresh, which we expect sometime in 2028. As for the Atlas Hybrid, the publication is projecting the end of the decade for its rollout, based on the next-gen model which is expected to launch with a regular gas engine in 2026.
International Automotive News Editor since 2014, covering global motor shows, industry events, and test-driving various vehicles, with a focus on hybrid and electric cars in recent years.
